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MN Health & Human Services Budget Compromise

May 12, 2010

 

The Health and Human Services Conference Committee wrapped up its work early Wednesday morning adjourning at 2:20 a.m.  The Conference Committee reached agreement on how to reduce spending to balance the state’s budget deficit, at least partially.  The bill also included the expansion of the Medical Assistance program to include the former General Assistance Medical Care Program.  The House and Senate hope to pass the conference committee report Wednesday night.  The Governor is unlikely to sign the bill unless there is some global compromise to solve the entire state deficit.

 Here is a summary of some issues of interest:

 Rate Reduction: The compromise includes no general rate reduction for medical assistance continuing care providers!!

 Customized Living Rates: It appears that the committee adopted the entire Senate position on Housing with Services which includes a reduction, effective July 1, 2010, of the service component rates and service rate limits for customized living services and 24-Hour customized living services by 5%.

 Certification of Transitional Consultation: Housing with Services Establishment would not be allowed to enter into a contract to allow a prospective resident unless the prospective resident has received a certificate that he/she has received “transition to housing with services” consultation.  This provision was adopted by the committee with some amended language.  I will have access to it later tonight.

 PCA Monthly Cap:  The committee agreed to the Governor’s unallotment provision to make permanent the cap of 275 hours per month that a PCA may work.

 Private Duty Nursing:  Adopted was a requirement that private health plan coverage of Private Duty Nursing services for those people who have both private insurance and are on Medical Assistance.

 Case Management: Reform report requirement to define functions, standardize and simplify processes, and increase opportunities for consumer choice was included in the bill.

Waiver Caps: The committee adopted the Governor’s waiver cap proposal.  The proposal limits the growth of the Community Alternatives for Disabled Individuals (CADI) at 60 new waivers per month and Developmental Disabilities (DD) Waivers at 6 waivers per month. 

Rehab Therapies (PT/OT/ST):  Lifetime limits on these therapies were agreed to.  The limit can be exceeded with prior authorization.  

Specialized Maintenance Therapies: The House position to eliminate Specialized Maintenance Therapies from Home Care Therapies was adopted.

Elderly Waiver: Elimination of automatic increase in EW case mix caps was not adopted.

Health Teams:  Adopted was the Health Team concept that establishes health teams to support the patient-centered health home.and provide the services.  Health teams are community-based, interdisciplinary, inter-professional teams of health care providers that support primary care practices.  These providers may include medical specialists, nurses, pharmacists, nutritionists, social workers, behavioral and mental health providers, doctors of chiropractic, licensed complementary and alternative medicine practitioners, and physician’s assistants.

PACE:  The House PACE proposal was included.

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